Nonprofit organisations in Maryland will almost certainly need to designate and have a registered agent.
A registered agent receives any official documents from the State of Maryland, as well as any service of process filed on a firm in a litigation.
A resident agent is a professional who will represent your company to the Maryland State Department of Assessments and Taxation while you are doing business. In certain jurisdictions, resident agents are referred to as registered agents, statutory agents, or service of process agents.
Typically, your resident agent will receive mail on your behalf, such as compliance information and tax alerts. Resident agents are also in charge of receiving process paperwork. This simply means that if your organisation is sued, your resident agent will receive the court summons and paperwork on its behalf.
The following are the criteria for resident agents in Maryland:
As long as they complete the standards given above, anybody may act as your nonprofit’s resident agent. You may function as your nonprofit’s resident agent, or you can choose a member of your board of directors or a trustworthy friend.
If you choose to serve as your organization’s resident agent, you must recognise the significance of the role. If you miss a filing date or lose a document, your nonprofit’s compliance status may be jeopardised, and the State Department of Assessments and Taxation may revoke your company registration.
Many organisations and other companies engage a professional registered agent service to guarantee that their company is always in compliance.
Before you choose a Maryland registered agent service, think about the benefits and drawbacks of this technique.
There are various reasons why you should consider employing a registered agent service for your nonprofit organisation. This strategy, in particular, can:
The sole downside of using a registered agent service is that it is expensive, while you may serve as your own resident agent for free.
While employing a professional registered agent service is a good idea for many reasons, in other cases it is required. If you answered “yes” to any of the following questions, your organisation should use a registered agent service.
When you submit your Maryland nonprofit’s Articles of Incorporation, you must name a resident agent. In Maryland, the fundamental nonprofit creation document is the Articles of Incorporation.
You may submit the Articles of Incorporation for your organisation and pay the $170 filing fee online via Maryland Business Express. You will be able to name your nonprofit’s resident agent when you finish the Articles of Incorporation online.
You must declare that your resident agent has agreed to their appointment throughout the online filing procedure.
To create your Maryland nonprofit by mail, download the Articles of Incorporation form, fill it out completely, and ship it to the Maryland State Department of Assessments and Taxation (along with the $170 filing fee). Section 5 will include the name and contact information for your resident agent.
Your resident agent must sign the Articles of Incorporation form to confirm their appointment.
Simply make the change online or fill out a Resolution to Change Resident Agent form and send it to the Maryland State Department of Assessments and Taxation along with the $25 filing fee to officially change your Maryland nonprofit’s resident agent.
You must acquire the permission of your new resident agent to their appointment, either by expressing it during the online filing procedure or by having them sign the Resolution to Change paperwork.
When you work at a charity, you have more essential things to worry about than monitoring the mail, submitting legal paperwork, and remembering compliance deadlines. A resident agent can help you with that. When you engage a professional registered agent service, you can put these responsibilities in their skilled hands and completely concentrate on what is most important to your firm.